The annual London Tech Week has drawn sharp criticism for masking fundamental structural problems facing Britain’s technology sector.
Adam French, partner at global venture capital firm Antler, accused the event of offering “complacency in conference form” to founders and policymakers alike.
French argued that politicians and industry leaders spent the week highlighting investment announcements and headline-grabbing funding figures while ignoring deeper challenges facing startups.
He warned of a widening gap between the public narrative around UK tech and the realities facing founders trying to build and scale businesses.
“We have spent ten years lamenting the sale of DeepMind to Google, instead of thinking about how we will build the next DeepMind,” he told City AM.
Prime Minister Keir Starmer used the event to announce a £1.1bn AI hardware package, including support for British chipmakers and a new national supercomputer in Edinburgh.
Technology secretary Liz Kendall also pledged reforms designed to channel more pension fund capital into UK growth companies during the same week.
Despite Britain retaining its position as Europe’s largest technology ecosystem, French argued two longstanding problems continue to hold the sector back.
Research from Antler, analysing more than 40,000 UK funding rounds, found only around 12 per cent of startups progress from seed stage to a Series A raise.
French also pointed to immigration and skills challenges, warning that Britain is losing ground to European rivals in the race for top talent.
“Visa routes are too expensive, too complicated and too slow,” he said, echoing warnings previously raised by industry groups and advisers.
Data obtained by RSM UK showed applications from skilled international technology workers fell sharply during 2025, with analysts warning labour shortages risk constraining growth and innovation.
The government has sought to respond by unveiling a concierge-style support service for scale-ups and a visa reimbursement scheme for high-growth firms in technology, life sciences and clean energy.
French acknowledged that London retains significant advantages, including concentrations of financial capital, scientific research and entrepreneurial talent across the city.
He warned, however, that policymakers cannot rely on historic successes or unicorn league tables to keep Britain competitive against faster-moving rivals.
“The ingredients for something great are here,” he said. “The next generation of great British companies will be built by those people, if we create the conditions for it.”
The comments add to a growing debate over whether Britain’s technology sector requires a more interventionist government approach to prevent promising firms seeking capital, acquisitions or listings overseas.
Ministers remain under pressure to ensure companies do not follow the path of Arm and DeepMind by ultimately leaving British hands in search of greater scale.